Providing Electricity to Remote Areas through Mini-Grids and Solar Home Systems

Providing Electricity to Remote Areas through Mini-Grids and Solar Home Systems

Executive Summary

This project seeks to deliver sustainable and affordable electricity to remote, off-grid communities that remain underserved by national energy infrastructure. Traditional grid extension in these regions is often economically unfeasible due to their geographic isolation, low population density, and high infrastructure costs. To address these challenges, the project will deploy an integrated approach using renewable energy technologies—specifically solar-powered mini-grids for clustered settlements and solar home systems (SHS) for dispersed households. By leveraging decentralized energy solutions, the initiative will ensure energy access that is not only clean and cost-effective but also scalable and resilient.

Electricity access is a foundational driver of socio-economic development. It enables children to study after dark, powers medical equipment in rural clinics, supports clean water access through electric pumps, and allows small enterprises to grow. The proposed project will directly impact 5,000 households across 10 remote villages, providing reliable and continuous electricity that enhances daily life. With energy access, communities will experience improved education outcomes, better healthcare services, increased income-generating opportunities, and greater overall well-being. This intervention will also stimulate local economies by creating jobs in installation, maintenance, and energy-related entrepreneurship, thereby contributing to long-term community development.

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Background and Rationale

Despite notable global progress in expanding access to electricity, a significant portion of the world’s population—particularly those living in remote and underserved regions—continues to face energy poverty. These communities often reside in geographically challenging terrains such as mountainous areas, islands, or sparsely populated rural zones, where extending the national electricity grid is technically difficult and economically prohibitive. The lack of reliable electricity restricts access to essential services such as healthcare, education, and communication, and hinders opportunities for economic growth and social development.

In response to these challenges, decentralized renewable energy solutions have emerged as a practical and sustainable alternative to traditional grid expansion. Technologies such as solar-powered mini-grids and solar home systems (SHS) provide clean, affordable, and scalable energy access tailored to the needs of off-grid communities. These systems not only reduce dependency on costly and polluting fossil fuels but also enhance resilience to climate change. This project directly supports Sustainable Development Goal 7, which advocates for affordable, reliable, sustainable, and modern energy for all, while also contributing to broader environmental goals by utilizing clean, low-carbon energy technologies.

Objectives

Provide sustainable electricity access to 5,000 off-grid households

The primary objective of this project is to ensure equitable and continuous access to electricity for 5,000 households located in remote, off-grid communities. By deploying a combination of solar-powered mini-grids and solar home systems (SHS), the project will supply clean, reliable, and cost-effective electricity to households that have traditionally relied on kerosene lamps, diesel generators, or had no access at all. The initiative will prioritize long-term sustainability through quality infrastructure, user-friendly systems, and community engagement, ensuring that energy access is not only immediate but enduring.

 

Improve educational and health outcomes through reliable power supply

Electricity is a critical enabler of both education and healthcare. Schools will benefit from lighting, enabling students to study during early mornings and evenings, while also powering digital learning tools and communication devices. Health centers will gain the ability to refrigerate vaccines, use diagnostic equipment, and provide emergency services at all hours. By powering these essential services, the project will significantly enhance the quality of life, improve school attendance and performance, and contribute to better health indicators across the beneficiary communities.

Promote income-generating activities enabled by electricity

Access to electricity opens new avenues for economic empowerment. Households and small businesses will be able to operate longer hours, use electric tools and appliances, and launch new enterprises such as agro-processing, sewing, mobile phone charging stations, or cold storage services. This project will foster local entrepreneurship by enabling productive use of energy, helping families to increase their incomes, diversify their livelihoods, and stimulate broader economic development in these marginalized regions.

Build local capacity for the operation and maintenance of energy systems

To ensure the sustainability of the installed systems, the project will invest in training and capacity building within the communities. Local technicians will be trained to install, operate, and maintain mini-grids and solar home systems. Community-based energy committees will be established to oversee energy management, enforce fair usage policies, and coordinate maintenance schedules. By building local capacity and promoting community ownership, the project aims to reduce dependency on external support and foster a self-reliant and resilient energy ecosystem.

Project Location

The project will be implemented in carefully selected remote villages across [Country/Region], where access to electricity remains critically low or non-existent. These locations will be identified through a comprehensive energy access mapping process that takes into account factors such as grid proximity, population density, socio-economic indicators, and existing infrastructure gaps. Geographic information systems (GIS) and national electrification plans will guide the selection to ensure that resources are targeted to the most underserved and marginalized communities.

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In addition to technical mapping, meaningful community engagement will play a central role in identifying target villages. Consultations with local stakeholders—including community leaders, women’s groups, youth representatives, and local government officials—will ensure that the selected areas not only demonstrate a genuine need for electricity but also show readiness and willingness to participate in the project. This participatory approach will foster local ownership, build trust, and ensure that the energy solutions designed are aligned with the specific needs, priorities, and cultural contexts of each community.

Target Beneficiaries

Households and Individuals

The project will directly benefit approximately 5,000 households, reaching an estimated 25,000 individuals living in remote and energy-deprived communities. These households currently lack access to reliable electricity, limiting their ability to meet basic needs such as lighting, communication, and refrigeration. By providing sustainable energy solutions, the project will significantly improve living conditions, enhance comfort and safety at home, and offer new opportunities for education, income generation, and overall well-being.

Public Institutions and Community Services

In addition to households, the project will support critical public infrastructure, including schools, health centers, and community facilities. Electrified schools will be able to operate longer hours and utilize digital learning tools, while health centers will benefit from powered medical equipment, vaccine refrigeration, and improved maternal care services. These enhancements will lead to measurable improvements in education outcomes and healthcare delivery, contributing to long-term community development.

Local Entrepreneurs and Technicians

The project will also target local entrepreneurs and skilled individuals by creating new economic and employment opportunities. Access to electricity will enable small businesses to expand their operations and introduce energy-powered services such as carpentry, welding, agro-processing, and phone charging. At the same time, local technicians will receive training in the installation, operation, and maintenance of solar systems, equipping them with marketable skills and strengthening the local energy economy. This focus on local capacity building will promote sustainability and self-reliance long after the project ends.

Project Components

Feasibility Assessment and Site Selection

The project will begin with a comprehensive feasibility assessment to identify suitable locations for intervention. This process will include technical studies to evaluate solar potential, terrain conditions, population density, and existing energy infrastructure. Simultaneously, socio-economic assessments will gather data on income levels, education, health access, and community readiness. To ensure local relevance and inclusiveness, community engagement will be a core part of the process. Through focus group discussions, surveys, and participatory rural appraisals, energy needs and usage patterns will be mapped, and social buy-in will be cultivated. These insights will guide the design and deployment of context-specific energy solutions that are both viable and welcomed by the communities.

Deployment of Mini-Grids and SHS

Following site selection, the project will deploy a mix of solar-powered mini-grids and standalone solar home systems (SHS) tailored to each village’s characteristics. Ten solar mini-grids will be installed in larger or more clustered villages to provide community-wide power access to households, schools, clinics, and small enterprises. For sparsely located homes beyond the reach of mini-grids, the project will distribute 2,000 high-quality solar home systems. All installations will adhere to national and international quality standards, incorporating essential safety measures, durable components, and backup storage to ensure continuous operation. The deployment will also include basic appliances (e.g., lights, mobile chargers) where applicable, based on household needs and preferences.

Capacity Building and Local Ownership

To ensure the long-term sustainability of the energy systems, the project will invest in extensive capacity building at the community level. Selected community members—particularly youth and women—will be trained in the installation, operation, and routine maintenance of mini-grids and SHS. The training will include technical skills, customer support, and safety procedures. In parallel, energy committees will be formed in each village to serve as governance bodies responsible for system oversight, tariff management, dispute resolution, and coordination with service providers. These committees will be supported by the establishment of local service hubs, which will stock spare parts and provide on-demand technical support, ensuring quick response times and reducing system downtime.

Monitoring, Evaluation, and Scaling Strategy

A robust monitoring and evaluation (M&E) framework will be integrated into the project from the outset. Remote monitoring technologies will be embedded into the energy systems to track performance metrics such as power generation, consumption, and system health in real time. Regular field visits and user satisfaction surveys will supplement this data to assess social and economic impacts. The project will also include baseline and endline evaluations to measure changes in education, health, income, and energy reliability. Based on the lessons learned, a scalable and replicable model will be developed to guide similar interventions in other regions. This strategy will include recommendations for policy alignment, financing mechanisms, and community engagement practices.

Implementation Timeline

Phase 1: Assessment and Planning (Months 1–3)

During the initial three months, the project will conduct all preparatory activities necessary for successful implementation. This phase will include detailed technical and socio-economic feasibility assessments, energy needs surveys, site visits, and stakeholder consultations. Community engagement will play a key role to ensure that local priorities, cultural contexts, and household energy demands are well understood. Based on the findings, specific villages will be selected, and a tailored implementation plan—including system designs and distribution strategies—will be developed. Partnerships with local authorities and stakeholders will also be formalized during this phase.

Phase 2: Procurement and Installation (Months 4–10)

Once planning is complete, the project will initiate the procurement of solar energy equipment and related components. All systems will meet recognized quality, safety, and environmental standards. Installation of ten solar mini-grids will take place in larger villages, while 2,000 solar home systems (SHS) will be distributed and installed in dispersed households. This phase will involve technical teams working closely with community members to ensure installations are done efficiently and responsibly, minimizing disruptions and ensuring system integrity. Safety checks and quality assurance protocols will be conducted for each installation.

Phase 3: Capacity Building (Months 5–12)

In parallel with system deployment, the project will roll out a community-based capacity-building program. Local youth, technicians, and selected individuals from each community will be trained in the operation, maintenance, and troubleshooting of mini-grids and SHS. Training modules will cover basic electrical engineering, customer support, and financial management related to energy service provision. Energy committees will be formed and supported with governance training to help oversee energy use, maintenance scheduling, and payment collection (where applicable). This phase will promote long-term sustainability through knowledge transfer and local ownership.

Phase 4: Monitoring and Evaluation (Ongoing, Months 4–24)

Monitoring and evaluation will run concurrently with installation and capacity-building efforts and continue for a full 24-month period. Remote monitoring systems will track energy production, consumption, and performance issues in real-time. Field teams will conduct periodic visits for qualitative data collection, community feedback, and impact verification. Key indicators such as education hours extended, health facility uptime, and household income improvements will be monitored. Mid-term and final evaluations will assess project outcomes, document lessons learned, and inform a strategy for scaling the model to other regions.

Budget Estimate

Feasibility Studies & Planning

This budget line covers all preliminary activities necessary to prepare for project implementation. It includes costs for technical and socio-economic assessments, community consultations, energy needs surveys, site visits, data analysis, and development of detailed implementation and monitoring plans. Funds will also be allocated for stakeholder workshops and coordination with local authorities to ensure alignment with regional development goals.

Mini-Grid Installation (10 units)

This portion of the budget is dedicated to procuring and installing ten solar-powered mini-grids in selected larger villages. It includes expenses for purchasing solar panels, batteries, inverters, wiring, poles, and other electrical components. Costs also cover site preparation, construction, labor, safety equipment, quality assurance, and commissioning. Additionally, funds account for contingency and potential upgrades needed to ensure reliable and safe energy supply.

Solar Home Systems (2,000 units)

Allocated funds will support the procurement and distribution of 2,000 solar home systems designed for scattered households beyond mini-grid reach. This includes costs for solar panels, batteries, LED lighting, phone chargers, mounting hardware, and installation services. The budget also covers logistics, transportation, community awareness campaigns, and after-sales support to ensure proper usage and maintenance.

Training and Capacity Building

This budget item covers comprehensive training programs aimed at empowering local technicians, community members, and energy committees. It includes the development of training materials, workshops, hands-on technical training sessions, governance and financial management capacity building, and establishment of local service hubs. Expenses also include trainer fees, venue costs, and ongoing mentoring support to ensure skills transfer and community ownership.

Monitoring and Evaluation

Funds allocated here will support the implementation of a robust M&E framework. This includes remote monitoring technology for real-time system performance tracking, data collection tools, field visits by evaluation teams, user satisfaction surveys, and impact assessment studies. The budget also covers reporting, documentation, and dissemination of lessons learned to stakeholders and donors.

Project Management and Administration

This category includes costs related to overall project coordination and management, such as staff salaries, office expenses, communication, procurement administration, travel, and contingency funds. It ensures smooth project execution, compliance with donor requirements, and effective resource management throughout the project lifecycle.

Total

The sum of all the above budget components represents the total financial investment required to successfully implement the project, delivering sustainable and affordable electricity access to off-grid communities while building local capacity and ensuring measurable social impact.

Expected Outcomes

100% Electrification in Targeted Remote Villages

The project aims to achieve complete electrification coverage in all selected remote villages by the end of the implementation period. This means every household, public institution, and business within the target communities will have reliable access to sustainable electricity through mini-grids or solar home systems. Achieving full electrification will close the energy access gap, replacing costly and polluting energy sources with clean, affordable, and consistent power, thereby transforming the daily lives of thousands of residents.

Improved School Attendance and Study Hours

With reliable electricity available, schools in the project areas will experience a noticeable increase in student attendance and participation. Electrified classrooms will enable the use of lighting and digital learning tools, allowing students to extend their study hours into the evening safely. Improved educational environments will motivate students and teachers alike, leading to enhanced academic performance, better literacy rates, and greater opportunities for youth in these communities.

Extended Health Service Hours and Cold Storage for Vaccines

Health centers equipped with dependable electricity will be able to operate beyond daylight hours, providing essential medical services around the clock. Power availability will support the use of critical medical equipment, lighting for emergency procedures, and refrigeration for vaccines and medicines. This will improve healthcare delivery, reduce vaccine spoilage, and enhance overall public health outcomes, particularly maternal and child health, in remote regions that previously faced service limitations due to lack of power.

New Businesses Started and Household Income Increased

Access to electricity will stimulate economic growth by enabling residents to start or expand income-generating activities. Small enterprises such as agro-processing units, repair shops, sewing workshops, and mobile charging stations will emerge or grow, leveraging the availability of power. As a result, household incomes will increase, diversifying livelihood options and reducing poverty. The community’s overall economic resilience and market connectivity will improve, fostering sustainable development.

Strengthened Local Technical Capacity

Through targeted training and capacity-building initiatives, the project will empower local technicians and community members with the skills needed to operate, maintain, and repair energy systems. This enhanced technical capacity will ensure the longevity and reliability of installed systems, reduce dependency on external experts, and create employment opportunities. Moreover, local energy committees will be well-equipped to manage energy resources effectively, promoting community ownership and sustainable energy governance.

Sustainability and Exit Strategy:

The project promotes sustainability through community ownership, local technician training, and tariff models for system maintenance. Energy cooperatives will be formed to manage systems post-project, with ongoing technical support from local partners and government linkages.

Partners and Stakeholders

Local Governments and Rural Electrification Agencies

Local government authorities and rural electrification agencies will play a crucial role in the project by facilitating site selection, providing regulatory approvals, and supporting community mobilization efforts. They will also coordinate with national electrification plans to ensure alignment with broader policy objectives. Their involvement will help streamline project implementation, enable access to public resources, and ensure that the energy solutions deployed complement other development initiatives in the region.

Community-Based Organizations

Community-based organizations (CBOs) will act as vital partners in engaging local residents, disseminating information, and fostering community ownership of the energy systems. These groups often have deep roots and trust within their communities, enabling effective communication and mobilization. CBOs will assist in forming energy committees, facilitating training sessions, and supporting ongoing maintenance activities, thereby strengthening the sustainability and social acceptance of the project.

Renewable Energy Technology Providers

Specialized renewable energy technology providers will supply high-quality solar panels, batteries, inverters, and other system components essential for mini-grids and solar home systems. They will also offer technical expertise during installation, system testing, and commissioning. Collaborating with reputable providers ensures that the equipment is reliable, efficient, and compliant with industry standards, ultimately guaranteeing long-term performance and safety.

NGOs and Development Partners

Non-governmental organizations and development partners bring valuable experience in community development, capacity building, and project management. They will contribute technical assistance, facilitate training programs, and help monitor social impacts. Their involvement enhances the project’s ability to address social inclusion, gender equity, and environmental sustainability. Additionally, these partners often provide access to broader networks and resources that can support project scaling and knowledge sharing.

Donors and Investors

Donors and investors provide the critical financial resources required to implement the project. Their support enables the procurement of technology, capacity-building activities, and ongoing monitoring and evaluation efforts. Beyond funding, they often offer strategic guidance, ensure adherence to accountability and transparency standards, and help leverage additional financing for scaling successful models. Their commitment is essential for transforming the vision of sustainable rural electrification into reality.

Conclusion

Bringing clean and reliable electricity to remote and underserved communities goes beyond simply providing power—it is a vital step toward achieving social equity and improving quality of life for populations that have long been marginalized. Access to electricity enables opportunities in education, healthcare, economic development, and social inclusion, serving as a foundation for broader sustainable development goals. This project recognizes the transformative power of energy access as a catalyst for positive change, empowering individuals and communities to unlock their full potential.

By integrating innovative renewable energy technologies such as solar-powered mini-grids and solar home systems, the initiative leverages clean and environmentally friendly solutions that reduce carbon footprints and build climate resilience. Moreover, the project places strong emphasis on community participation and ownership, ensuring that local voices guide implementation and that knowledge and skills are transferred to sustain the systems long term. Through comprehensive capacity building and inclusive engagement, the project fosters self-reliance and resilience among community members.

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This holistic approach creates a replicable and scalable model for bridging the persistent energy access gap in remote areas. It serves as a blueprint for future efforts to deliver affordable, clean, and reliable electricity in a way that respects local contexts and promotes sustainable development outcomes, ultimately contributing to a more equitable and greener future.